Fluor JV Wins LNG Canada Phase 2, Adds $7.5B to Backlog
FLR sits 26% above its 52-week low of $39.33.
Summary
Fluor's joint venture with JGC has received a notice to proceed for the LNG Canada Phase 2 expansion following a final investment decision. The JV will provide engineering, procurement, fabrication, construction, and commissioning for Phase 2, which includes construction and commissioning of an additional LNG storage tank and two new liquefaction units. The expansion will double the facility's production capacity to about 28 million tons a year. Fluor will recognize a $7.50 billion contract share in Q3 FY2026, a substantial addition to its $26.9 billion backlog. LNG Canada is a joint venture of Shell, Petronas, PetroChina, Mitsubishi Corp., and Korea Gas. This award significantly strengthens Fluor's energy construction pipeline and provides multi-year revenue visibility. The announcement follows a strong Q2 beat and management's emphasis on data center demand as a growth driver. Investors will watch for further details on project timeline and margin expectations.
At the time of this announcement, FLR was trading at $49.59 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $6.6B. The 52-week trading range was $39.33 to $58.35. This news item was assessed with neutral market sentiment and an importance score of 8 out of 10. Source: Reuters.